This article first appeared on GuruFocus.
Sep 4 – C3.ai (NYSE:AI) stock slid sharply after the company reported weaker-than-expected fiscal Q1 results and announced a leadership shake-up.
Revenue came in at $70.3 million, short of Wall Street estimates, while adjusted losses widened to $0.37 per share. The disappointing report pushed long-time CEO Thomas Siebel to step down, with Stephen Ehikian stepping in to stabilize operations.
The company also withdrew its fiscal 2026 guidance, citing disruptions from a sales reorganization and Siebel’s health challenges. C3.ai plans to provide updated forecasts when it releases Q2 results.
The stock has already lost more than half its value this year, and Thursday’s premarket drop of 11% piled onto that decline. Analysts remain divided: Seeking Alpha’s contributors maintain a Buy view, Wall Street consensus sits at Hold, while D.A. Davidson downgraded the stock to Underperform, calling the results catastrophic.
As its market cap hovers at about $2.3 billion and investor patience is wearing thin, the next few quarters will reveal whether new leadership can get C3.ai on a new path in the competitive artificial intelligence software market.
Based on the one year price targets offered by 13 analysts, the average target price for C3.ai Inc is $23.62 with a high estimate of $40.00 and a low estimate of $13.00. The average target implies a upside of +41.63% from the current price of $16.68.
Based on GuruFocus estimates, the estimated GF Value for C3.ai Inc in one year is $33.15, suggesting a upside of +98.74% from the current price of $16.68.